CapitaLand turns to hot Chinese markets for much-needed growth

Residential, retail sales will be key drivers.

CapitaLand's residential and retail business in China is expected to drive the company's growth in coming quarters, according to a report by Barclays.

"We expect retail and residential sales in China to drive growth in FY15-17E, and for its integrated projects, mainly
the completion of Raffles City China in FY16 and FY18 to drive growth after that," said Barclays.

In particular, the group's residential business will benefit from aggressive Chinese easing measures, which have made mortgages more available.

"CAPL management expects residential sales to improve, following the PBOC’s latest easing measures which have lowered mortgage costs and increased mortgage availability, as well as the Chinese government’s relaxation of home purchase restrictions in second and third tier cities. We estimate China is c24% of its RNAV,” the report noted.
 

Join Singapore Business Review community
A NOTE FROM SINGAPORE BUSINESS REVIEW

The people you want to reach are already in this room.

Every quarter, SBR lands on the desks of the founders, CFOs, and directors running Asia's most consequential companies. Every day, they open our newsletter and read our website. It's a room that took twenty years to build — and it's the one most of our partners are trying to get into.

The good news is that the door is open. We work with companies on thought leadership articles, sponsored content, industry summits across Southeast Asia, regional awards programmes, podcasts, and media placements in print and digital. The shape of the right partnership depends on what you're trying to do, which is why we'd rather start with a conversation than send a rate card.


If you have something this room should know about, tell us. We'll tell you honestly whether we can help, and how.

No rate cards until we understand the brief. It's a better use of everyone's time.